The Loan/Hedge limits downside exposure without giving up unlimited appreciation. The novas approach isto sell a position to reduce exposure which also eliminates any possibilities of further
gains. (Most often the sale incurs tax liabilities.)
Profitable investing is about managing risk. Market volatility is a fact of investing. The equity markets will always be uncertain and declining markets can have a negative impact even to good
If you believe in a new venture, or the the market as a whole, then you are most likely fully invested. However, capital safety must always be preserved which is why a loan hedge is essential. First
Mutual makes hedging loans accessible, and effective.